Canada Pension Plan Investment Board Invests $125.23 Million in McKesson Corporation $MCK

Canada Pension Plan Investment Board acquired a new position in shares of McKesson Corporation (NYSE:MCK) in the second quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The fund acquired 165,738 shares of the company’s stock, valued at approximately $125,232,000. Canada Pension Plan Investment Board owned 0.14% of McKesson as of its most recent SEC filing.

A number of other institutional investors and hedge funds have also added to or reduced their stakes in MCK. University of Texas Texas AM Investment Management Co. bought a new stake in McKesson in the fourth quarter valued at approximately $25,000. Swiss RE Ltd. acquired a new stake in shares of McKesson during the fourth quarter worth about $26,000. State of Wyoming bought a new position in shares of McKesson during the 2nd quarter valued at about $29,000. Kingdom Financial Group LLC. acquired a new position in shares of McKesson in the 4th quarter valued at approximately $33,000. Finally, Birchwood Financial Partners Inc. acquired a new position in shares of McKesson in the 4th quarter valued at approximately $33,000. Institutional investors own 85.07% of the company’s stock.

Analyst Ratings Changes

MCK has been the topic of several research analyst reports. Royal Bank Of Canada started coverage on shares of McKesson in a report on Wednesday, August 19th. They set a “sector perform” rating and a $845.00 target price on the stock. Robert W. Baird set a $1,015.00 price target on McKesson in a research note on Thursday, August 6th. JPMorgan Chase & Co. cut their price target on McKesson from $1,107.00 to $1,015.00 and set an “overweight” rating on the stock in a report on Friday, May 8th. TD Cowen increased their price objective on McKesson from $989.00 to $1,006.00 and gave the stock a “buy” rating in a report on Thursday, August 6th. Finally, Evercore restated an “outperform” rating on shares of McKesson in a research note on Thursday, August 6th. Fourteen investment analysts have rated the stock with a Buy rating and four have given a Hold rating to the company’s stock. According to data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average target price of $973.44.

McKesson Trading Down 0.8%

NYSE MCK opened at $898.06 on Thursday. The company has a market cap of $104.70 billion, a PE ratio of 24.03, a PEG ratio of 1.78 and a beta of 0.30. The stock has a 50 day moving average of $827.60 and a 200-day moving average of $844.17. McKesson Corporation has a 12 month low of $677.28 and a 12 month high of $999.00.

McKesson (NYSE:MCK) last released its quarterly earnings data on Wednesday, August 5th. The company reported $9.93 earnings per share for the quarter, topping the consensus estimate of $9.56 by $0.37. McKesson had a net margin of 1.12% and a negative return on equity of 253.21%. The company had revenue of $105.38 billion for the quarter, compared to analyst estimates of $103.88 billion. During the same period in the previous year, the business earned $8.26 EPS. McKesson’s revenue for the quarter was up 7.7% compared to the same quarter last year. McKesson has set its FY 2027 guidance at 44.200-45.000 EPS. As a group, sell-side analysts predict that McKesson Corporation will post 44.65 EPS for the current fiscal year.

McKesson Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, October 1st. Shareholders of record on Tuesday, September 1st will be issued a $0.94 dividend. The ex-dividend date of this dividend is Tuesday, September 1st. This represents a $3.76 dividend on an annualized basis and a yield of 0.4%. This is a positive change from McKesson’s previous quarterly dividend of $0.82. McKesson’s payout ratio is currently 10.06%.

Insider Buying and Selling at McKesson

In other news, Director Bradley E. Lerman sold 301 shares of the firm’s stock in a transaction that occurred on Monday, August 10th. The shares were sold at an average price of $892.33, for a total transaction of $268,591.33. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, CEO Brian S. Tyler sold 8,463 shares of McKesson stock in a transaction on Tuesday, July 7th. The shares were sold at an average price of $793.56, for a total value of $6,715,898.28. Following the completion of the transaction, the chief executive officer directly owned 5,919 shares of the company’s stock, valued at $4,697,081.64. This represents a 58.84% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last quarter, insiders have sold 23,111 shares of company stock worth $18,011,274. 0.06% of the stock is currently owned by company insiders.

McKesson News Summary

Here are the key news stories impacting McKesson this week:

• Positive Sentiment: McKesson’s agreement to acquire Precision Medicine Group would expand its clinical research and drug-commercialization capabilities. Management expects the business to complement its oncology operations and create additional growth opportunities in specialty pharmaceuticals. Reuters: McKesson to buy Precision Medicine Group
• Positive Sentiment: Short interest in McKesson fell 33% to about 2.42 million shares as of August 14, representing just 2.1% of shares outstanding and 2.2 days of average trading volume. The reduction suggests less bearish positioning and may provide technical support for the stock.
• Positive Sentiment: Analyst commentary remains constructive on McKesson’s specialty distribution, oncology and technology businesses. The company’s latest reported quarter also exceeded earnings and revenue expectations, supporting the view that its core operations remain resilient. Zacks: Why retain McKesson stock
• Neutral Sentiment: McKesson Ventures’ latest report highlighted artificial intelligence, enterprise demand and investor confidence as major forces reshaping pharmaceutical technology. This could create strategic opportunities, although the report does not announce a specific financial commitment or revenue impact for MCK. McKesson Ventures pharma technology report
• Negative Sentiment: The Precision Medicine transaction comes amid a McKesson reorganization and reported layoffs. Investors may be concerned about restructuring costs, execution risk and whether the acquisition will deliver sufficient returns to offset its $2.25 billion price tag. McKesson acquisition and reorganization
• Negative Sentiment: Longer-term risks remain from drug-pricing pressure and potential healthcare-policy changes. These concerns could limit margins even as McKesson expands into higher-growth specialty and biopharmaceutical services. Zacks McKesson risks

McKesson Profile

McKesson Corporation (NYSE: MCK) is a global healthcare services and distribution company that supplies pharmaceuticals, medical-surgical products and health care technology solutions. Founded in 1833 and headquartered in Irving, Texas, McKesson operates across the drug distribution and healthcare services value chain, connecting manufacturers, pharmacies, hospitals and health systems to help manage the movement of medicines and clinical supplies.

The company’s core activities include pharmaceutical wholesale distribution and logistics, specialty pharmacy services, and the provision of medical-surgical supplies to acute and non-acute care providers.